For years The Pirate Bay has been a thorn in the side of the music industry, but things could be about to take a turn for the worse. Over the past days rumors of a new project titled "The Music Bay" have been circling, and now a Pirate Bay insider has just confirmed to TorrentFreak that the major record labels have good reason to be afraid, very afraid.

A few years ago the Pirate Bay crew registered a domain name that until now hasn’t been very active, themusicbay.org. At the time it was registered there were plans to create the most efficient music sharing system ever built, but these were put aside as other projects needed more urgent attention.

In recent days, however, rumors started to grow that The Music Bay domain might be put to use after all. It is currently setup to serve ads for The Pirate Bay website, but this spring it could be hosting a special surprise for the music industry.

The currently active subdomain fear.themusicbay.org is currently displaying a “comming soon” [sic] title so TorrentFreak caught up with a Pirate Bay insider to learn more about the plans for the site. Although the Pirate Bay crew is reluctant to release any specific details, their intentions are obvious.

“The music industry can’t even imagine what we’re planning to roll out in the coming months. For years they’ve complained bitterly about piracy, but if they ever had a reason to be scared it is now,” TorrentFreak was told. “It will be a special surprise for IFPI’s 78th birthday, and we’re thinking of organizing a huge festival in Rome where IFPI was founded.”

IFPI is of course the International Federation of the Phonographic Industry, one of the most active anti-piracy outfits and a long-time adversary of The Pirate Bay. Formed under Italy’s fascist government of Benito Mussolini in 1933, IFPI will turn 78 in April of 2011.

TorrentFreak did ask for more details about “The Music Bay”, but the above is all we are able to reveal at this stage. What’s clear from the conversation we had, however, is that the major record labels are in for a big surprise. More details are expected to follow in the near future.

Without any hard evidence all the above can of course be interpreted in a million ways. We simply don’t know what the announced project will be, who will run it and what it will do. For all we know the entire project is nothing more that a domain name, registered and used just for the purpose to put fear into the already quite paranoid music industry.